Dubai property market cooling

In Dubai there are now strong signs that the government is getting some sort of grip on the excesses of the Dubai property market - and about time too.

We have long viewed the market as quite high risk. The market has an unusual set of drivers and is not exactly the most transparent place to buy property.

The huge amount of building there inevitably raises questions about oversupply, but seemingly so far demand has outstripped supply.

Price growth in some parts of Dubai has been reported to be an almost unbelievable 79% in 2007, that is on top of already impressive growth figures in the previous years. High growth is continuing in 2008.

Now in mid-2008 the government is stepping in to to regulate off-plan purchases, mortgages and are implementing a whole raft of measures to cool the market. These are likely to do the job they are intended to do.

Like some of the buildings in Dubai the property market has seemed to defy gravity. With high prices and more heavy government intervention I would be even more wary of investing in Dubai than I have been in the last few years.

It remains to be seen where the Dubai property market will head next and whether the Dubai government can really use their oil money to turn a patch of desert into one of the world's true commercial and financial centres.

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Albania property market

Today we have cautiously upgraded our Property Investment Rating from 3 to 3.5 for the Albanian property market, read more here.

Whilst we still believe its a little bit wild for many property investors in Albania there is no doubt there are opportunities, finance available and a burgeoning economy.

Over the last few months there seems to be increased interest from large western companies in Albania - as it is right on the doorstep of the EU and principally has cheap labour.

We see the structural reforms that have been implemented over the last few years as ones that are here to stay and the economy should continue to grow and a long with it demand for housing.

We still recommend avoiding the coast (perhaps with the exception of buying land in prime locations).

Tirana, the capital is still the best bet for growth at the lowest risk possible in Albania. Though investors still need to go in with their eyes open, buy in the right locations that are not oversupplied, have secure title, not beset with infrastructure problems and from good developers.

The Albania property market may offer rich rewards if one can stomach the risk and uncertainity.

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Czech mortgage rates

After last week's reduction in the Czech base rate back down to 3.5% now could be a good time to get a mortgage in the Czech Republic at a good fixed rate.

My view is that not all the banks will pass this rate reduction on to their mortgage products, as it is widely expected that at some stage in the not too distant future rates will increase again as there is still inflation present in the economy.

Typical rates for foreigners before the reduction were around 5 - 5.5%.

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Canada property investment market rating downgraded

We have just downgraded our BTL investment rating for the Canadian property market as a whole, after an extensive visit to the country this summer by part of our team.

The market has hit a natural high and prices have stabilised in most areas.

We don't see the market going the same way as the US, as lending in Canada has been much tighter than in the US.

We've been big fans of the Canadian property market over the last few years, but the high growth phase has come to an end for a while.

In the short term we expect low growth, but not a crash.

The fundamentals of the market are still healthy, but affordability needs to catch up with prices before much further growth can take place.

This means Canada falls from a 4 to a 3.5 on our investment rating scale.

www.propertyinvestmentinternational.com